Buzzing stock: Jet Airways adopts cost saving measures

Jet Airways has adopted cost saving measures and its junior pilots are on the front to face these consequences. The management has asked its junior and trainee pilots to take 10 days off every month so that 30 percent of the monthly costs would be saved.

This 10 days block off per month is an interim measure named Lifestyle Work Pattern which will be effective from August 1, 2017. According to the management, salary cut is better option against letting go off the employees. 

Job scenario in the aviation sector seems to be going through a tough patch but privatization of government owned Air India would create more job opportunities in the future.

The company has also asked the junior pilots to submit surety bonds of Rs 1 crore and serve the company for at least 5-7 years. In case of failure to serve the said tenure, they may have to face encashment of bonds process. Currently, the airline has more than 300 junior pilots (including trainee pilots).

These measures could affect the performance of the employees and its business going forward.

The stock had closed at Rs 596.60 on Friday. It opened low at Rs 589.80 and touched Rs 605.80 level in the morning session, a rise of 1.5 percent.